Corus buys in Canada

Steel and aluminium group Corus said on Wednesday it had reached an agreement to buy a 60% stake in Canadian company Reycan for C$103 million (70 million euros). The agreement in principle of the purchase of a majority stake was announced on October 18, 1999.

'This acquisition means a broadening of the product range and the downstream aluminium activities of Corus and strengthens the position (of Corus) in the North American market,' Corus said in a statement.

Reycan, bought from Reynolds Metals and SGF Mineral Inc., has sales of around C$265 million. The remaining 40% of Reycan shares will stay with SGF Mineral Inc. Corus was formed in October 1999 from the merger of Dutch Hoogovens and British Steel in a deal worth £2.9 billion.